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Suppose the following bond quotes for IOU Corporation appear in the financial page of todays newspaper. Assume the bond has a face value of $1,000,

Suppose the following bond quotes for IOU Corporation appear in the financial page of todays newspaper.

Assume the bond has a face value of $1,000, and the current date is April 15, 2016. What is the yield to maturity of the bond? What is the yield to maturity on a comparable Bank of Canada issue?

Company (Ticker) Coupon Maturity Last Price Last Yield EST Spread UST EST vol (000s)

IOU 7.2 April 15, 2026 108.96 ?? 468 10 1827

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